New agreements with distributors will help make it easier for distributors to stock ACDelco parts and satisfy intense demand from independent service centers for greater and more timely parts availability.
Changes include a new, open-distribution model in the U.S. that will expand distributors’ sales territories while meeting the needs of independent service centers. In addition, ACDelco has begun adjusting prices on key parts lines and simplifying purchase and incentive programs for distributors.
“I’ve spent the past year talking to our independent service center customers. They believe in the brand and everything it represents; they love the quality and broad coverage of our parts; they think our training is the best in the business; and they’re thrilled with our Consumer Assurance and Roadside Assistance programs for consumers. The issue is they have a difficult time getting our parts, and we are going to change that,” said Bob Sanford, general director, ACDelco.
“As a leader in the global aftermarket business, it’s our job to meet our customers’ needs, and we are acting with speed to get them the parts they need. At the same time, we want to make it easy for distributors to do business with us. The new agreement positions our valued distributor partners, independent service centers and ACDelco with a real opportunity to grow sales and succeed together in the growing aftermarket.”
Independent service centers are demanding more ACDelco parts because ACDelco has been serving the automotive aftermarket for nearly a century. ACDelco’s leadership position is based on several key attributes:
Quality and portfolio depth and breadth: ACDelco offers nearly 90,000 parts across 37 product lines for most makes, models and budgets – and in more than 100 countries. Parts undergo stringent measures to ensure quality and durability; for example, ACDelco brake products are among the most tested in the industry.
General Motors OE parts: ACDelco is the only true provider of GM OE parts. GM brands represent 36 percent of the car and light truck population in the U.S. That’s 67.2 million vehicles on the road today that need parts and service.
Consumer Assurance and Roadside Assistance: These programs protect consumers in the event of a problem on the road or the rare product defect (available to eligible participants in ACDelco’s Professional Service Center program).
Holistic marketing and business development support: ACDelco supports installers with industry-leading e-commerce tools, marketing support, digital and customer relationship management tools and access to over 20 marketplace discounts to help them run and grow their business.
Industry-leading training: ACDelco offers more than 500 instructor-led, virtual classroom and web courses for technicians to help them stay on top of rapidly changing automotive technology. ACDelco recently announced a technician training award program to encourage technicians to pursue training and shop owners to support it.
A trusted brand: Independent market research shows ACDelco leads the industry in six major brand equity attributes, signaling the strength of the brand and the confidence within the industry.
The $145-billion annual aftermarket business is expected to expand another $11 billion in just two years. Even as new-car sales trend back up to pre-recession numbers, the average vehicle on the road today is a 2004 model.
“That means there are 100 million vehicles on the road in the U.S. that are six- to 12 years old, representing a real sweet spot for our industry,” said Sanford. “With the business changes we’ve implemented and the power of the ACDelco brand, we intend to seize that opportunity.”
Subscribe to Aftermarket Business World and receive articles like this every month….absolutely free. Click here.